Despite this, no paper has investigated the sources
of the idiosyncratic risk as they relate to the value premium.
As such, deteriorating earnings quality as a source
of idiosyncratic risk could drive the value premium.
BlackRock writes that the iShares MSCI World Small Cap UCITS ETF (WSML) is a way for investors to express a nuanced view within their equity allocation, allowing them to take a building block approach to broad exposure but with a lower level
of idiosyncratic risk than single stock investments.
«This is the one that has a little bit
of idiosyncratic risk going on.»
Bottom line: There's no free lunch on Wall Street and just about every asset class carries its own form
of idiosyncratic risk.
Many investors believed they had an adequately diversified portfolio, containing a number of independent sector positions and a portfolio
of idiosyncratic risks.
Not exact matches
Kostin said that these correlations are «mean - reverting» and are likely to fall given the
idiosyncratic impact
of policy
risks, adding that equities within the consumer discretionary and health care sectors offer the best stock - picking opportunities.
Additionally, as recent headlines illustrate, one can not ignore
idiosyncratic risks in the different countries (for example the passing
of the Thai King, or the impact
of Samsung's woes on the South Korean market).
In their May 2006 paper entitled «The Relation between Time - Series and Cross-Sectional Effects
of Idiosyncratic Variance on Stock Returns in G7 Countries», Hui Guo and Robert Savickas investigate why the realized idiosyncratic volatility (beta) of individual stocks correlates negatively with future returns — why there is a penalty instead of a reward for this a
Idiosyncratic Variance on Stock Returns in G7 Countries», Hui Guo and Robert Savickas investigate why the realized
idiosyncratic volatility (beta) of individual stocks correlates negatively with future returns — why there is a penalty instead of a reward for this a
idiosyncratic volatility (beta)
of individual stocks correlates negatively with future returns — why there is a penalty instead
of a reward for this apparent
risk.
In particular, the organization raised concerns about leveraged trading
of cryptocurrencies, though it acknowledged that the low correlation between cryptocurrencies and other assets «suggests that the
risk of spillovers from
idiosyncratic price moves in crypto assets to the wider market may be limited at this point.»
We economists and credit
risk modellers speak euphemistically
of idiosyncratic shocks, but this is what we mean.
It
risks a late detour into magic realism and comes out the other end as an even stronger and more
idiosyncratic piece
of work — and, thanks to Mortensen's presence, a possible international breakthrough for a filmmaker whose cult could stand to grow a little going forward.
Perhaps not surprisingly, the history
of Hollywood production mirrors the history
of venture capital in the United States, as each new film presents an
idiosyncratic set
of risk factors, and each new production or distribution technology distorts return forecasts for a new generation
of film speculators.
Additionally, as recent headlines illustrate, one can not ignore
idiosyncratic risks in the different countries (for example the passing
of the Thai King, or the impact
of Samsung's woes on the South Korean market).
Finally, the
idiosyncratic risk of a dividend portfolio is a substantial
risk that is easily mitigated through proper diversification.
Nonetheless, the methodology has certain practical disadvantages: It results in high - turnover portfolios with greater active
risk (much
of which is
idiosyncratic) and higher trading costs.
But the concentrated portfolio built in accordance with the integrating methodology appears to carry a greater proportion
of idiosyncratic active
risk, casting doubt on the consistency
of its future performance.
This analysis reveals that the integrating strategy's
idiosyncratic risk (4.81 %) is more than 2.5 times that
of the mixing strategy (1.91 %).
The role
of ETF positions is generally to access
idiosyncratic risk / return exposures and maintain a higher resilience to diverse market conditions.
If I can spread around the
idiosyncratic risk of vacancies, major repairs, mold problems, hurricanes, earthquakes, lawsuits, etc. over a larger number
of properties and over a wider geographic area, I'm all for it!
We care that we've chosen a portfolio
of investments whose
risk drivers provide
idiosyncratic and diversifying exposures to other investing strategies, and we care that our downside is attended to strategically, not just tactically (we do our best to manage maximum drawdown).
She defines
idiosyncratic volatility as the standard deviation
of daily residuals from monthly regressions
of returns (in excess
of the
risk - free rate) for each stock versus Fama - French model factors.
The purpose
of this paper, a joint work with Vasiliki Athanasakou, is to examine whether a value premium exists over our sample period, whether systematic
risk is driving the value premium, whether
idiosyncratic risk does a better job than systematic
risk in explaining the value premium, and more importantly whether earnings quality contributes to a
risk, mispricing or both explanations for the value premium.
That's the premise
of Flair: gorgeous, wonderfully
idiosyncratic art, confident about its own importance in an era
of platitudes, self - serving power, and divisive fear - mongering; art full
of risk and driving ideas in this exceedingly difficult time, art chock - full
of flair.
If we surreptitiously adopt
idiosyncratic solutions to them, we
risk undermining the rule
of law itself.
Finance experts assume that there are two types
of risk in a given market: the systemic
risk and the
idiosyncratic (individual)
risk.
Crypto rich kids made their fortune on the rapid growth
of cryptocurrency markets — which are problematic due to their
idiosyncratic risks.
As far as the conclusions and recommendations from child custody evaluations, they just make up whatever they want based on their own personal beliefs and inherent personal biases, they then apply some psychological constructs in entirely haphazard and
idiosyncratic ways to justify whatever biased and
idiosyncratic conclusion was reached, and they usually take a middle -
of - the road
risk - management response
of recommending the status quo with the addition
of «reunification therapy» and an admonishment to both parents that the degree
of parental conflict is harming the child and that the parents need to co-parent better.
ST is compatible with the models frequently used in sex offender intervention and the inclusion
of a ST based formulation within a group setting allows for a more comprehensive and
idiosyncratic understanding
of risk, facilitating greater opportunity for psychological change and reduction
of risk of re-offending.